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Located in northern Europe between the Greenland Sea and the North Atlantic, the island of Iceland has the second highest living standard in the world according to the United Nations Development Pro-gramme's (UNDP) Human Development Report and is outranked only by Norway. With a per capita income of $35,700, Iceland ranks as the 12th richest nation. Although the fishing industry employs only four percent of the labor force, it generates 70 percent of export earnings. The standard of living is high, and Iceland scores particularly high on literacy, longevity, income, and social cohesion. Income is fairly evenly distributed, and unemployment is extremely low (2.1 percent). The government provides a broad safety net that includes universal access to healthcare and a generous housing subsidy.

Government spending on healthcare is extremely high in Iceland, and the government allocates an average of 26 percent of the total budget to health. In international dollars, Iceland spends $3,110 per capita, with 10.5 percent of the Gross Domestic Product (GDP) earmarked for health programs. Due to the national plan, approximately 85 percent of healthcare spending is generated by the government, and 36.5 of that spending is used to finance social security, which is mandatory. The only private funding of healthcare in Iceland is derived form the 15 percent service fee required of all Icelanders. There are 3.62 physicians, 13.63 nurses, 0.60 midwives, 1.00 dentists, and 1.30 pharmacists per 1,000 population in Iceland.

In 1990, Parliament passed Health Services Act No. 97, which guarantees universal healthcare access to Icelanders to protect their mental, social, and physical health. The national health plan is financed through taxes (85 percent) and user fees (15 percent). Iceland is divided into healthcare regions, and primary health centers are located throughout each region. These centers provide routine healthcare, disease prevention, and home care. The centers also have responsibility for family planning, school health, and mother and child healthcare.

Iceland's population of 299,388 enjoys a life expectancy of 80.31 years, the 11th highest life expectancy rate in the world. Females outlive males an average of four years. Access to education at both the primary and secondary levels is universal, and 99 percent of the population over the age of 15 is literate. All Icelanders have access to safe drinking water and improved sanitation. Women give birth to an average of

1.92 children.

Between 1990 and 2004, infant mortality was slashed by two-thirds in Iceland, falling from six to two deaths per 1,000 live births. The current infant mortality rate of 3.29 deaths per 1,000 live births is the fifth lowest in the world. During that same period, under-5 mortality fell from seven to three deaths per 1,000 live births. Icelandic children are remarkably healthy, but four percent of infants are underweight at birth. All infant immunization rates are in the 90s: 99 percent of infants are immunized against diphtheria, pertussis, and tetanus (DPT1 and DPT3), polio, and Haemophilus influenzae type B, and 93 percent are immunized against measles.

Periodic earthquakes threaten the general wellbeing in Iceland. Environmental threats include water pollution caused by the runoff from fertilizer and the government's inability to sufficiently treat wastewater. HIV/AIDS is not a major concern in Iceland. With a 0.2 percent adult relevancy rate, only 220 Icelanders are living with the disease. HIV/AIDS has proved fatal to around 100 people.

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